Single indicator to complemented IUS and ISS

A new, single innovation indicator has been proposed by the European Commission.

The indicator, which was part-developed by the Joint Research Centre (JRC), focuses on innovation output and measures the extent to which ideas from innovative sectors are able to reach the market.

The indicator was presented to the European Council last week in Brussels at the request of member state heads of government. EU leaders are seeking to benchmark national innovation policies by focusing on innovation output. It’s hoped the new indicator will assist policy makers in taking action to remove obstacles which prevent innovators from translating their ideas into successful products and services.

The proposed indicator is based on the following four criteria: technological innovation as measured by patents; employment in knowledge-intensive activities as a percentage of total employment; competitiveness of knowledge-intensive goods and services; and employment in fast growing firms of innovative sectors. According to the new indicator, Sweden, Germany, Ireland and Luxembourg are the EU member states getting the most out of innovation.

The new single innovation indicator complements the Commission’s Innovation Union Scoreboard (IUS) and Summary Innovation Index (SII) which assess the innovation performances of member states and the EU more widely, against a broad set of 24 innovation indicators including inputs, throughputs and outputs.